Pay Less, Have More Money

Things costs more

When you’re in debt, you pay more. Imagine a store with a big sign out front that says, “Pay Up to 35% More!”

Would you be stopping in to shop?

I doubt it, but that’s exactly what happens when you use debt to buy the things you want. It’s just not as apparent, because the price shown for the item or experience is not the real price you end up paying.

Extra costs get tacked on

If the extra costs that get tacked on when using debt were somehow shown right up front so that you had to see what you were actually paying, I suspect people would be less likely to “take advantage” of debt.

Imagine having the choice of buying an item for $20, or buying the exact same item for $27. The $20 would be a no-brainer, right?

You’d realize you could pay less for the things you want to buy. Sometimes even a lot less.

Other impacts

Of course, when you pay more than you need to for the things you buy, the result is that you have less money available for other things.

There’s a reason people who spend money on things they can’t really afford talk about never having any money. They don’t, because they’re spending more than they realize, and the extra amount is all going to credit cards, car loans, and other debts.

The benefits of NOT using debt

Spend money that’s really yours instead, and other benefits emerge. You’ll enjoy what you’re buying and doing a whole lot more than you enjoy making payments and paying interest on debt.

You’ll also be able to really get ahead, because you’ll have more money available.